Doctrine Of Separability; Arbitration Agreement Survives Termination Of Main Contract: Bombay High Court

The Bombay High Court ruled that an arbitration agreement's validity persists even if the main contract is terminated. The doctrine of separability allows an arbitration clause to remain effective independently of the termination of the contract it was part of. The court emphasized that the principle of separability ensures that arbitration agreements are not undermined by the termination of the underlying contract, thus upholding the intent of parties to resolve disputes through arbitration as agreed. This doctrine helps maintain the effectiveness of arbitration clauses and prevents disputes about the validity of such agreements when the main contract is no longer in force.